oh and jobs are going to washington d.c. and here's what's coming up tonight on the big picture bipartisan budget talks on capitol hill failed once again today with exactly three weeks left until our nation falls on its debt so the democrats want to protect the middle class and republicans want to safeguard their buddies from tax hikes is a deal even a tangible plus europe's biggest fear is now reality the euro's valid value is fall but the exchange crisis the economic crisis changed the amount of aid greece and

other struggling countries in the euro zone receive. you need to know this the verbal jousting about the debt ceiling continues here in washington as meetings continue between from aggression a leader and the administration president obama warned of some very dire consequences for americans depend on social security if a compromise is not reached by the august second deadline wolf this is not just a matter social security trustees are veterans checks these are folks on disability and their checks. there are about seventy million checks that go out can you guarantee as president those checks will go out on august third i cannot guarantee those checks go out on august third if we have unresolved position because there may simply not be the money in the call. offers to do it but it is quite the real

threat of underwood's of thousands of people being left without government assistance in three weeks republican leaders still refuse to come to the table with a compromise. i don't know why he believes there's going to be any easier for republicans. than democrats to make these tough decisions. in terms of reducing spending washington yes especially from we don't have a revenue right. analysts agree that this is the perfect opportunity for congress to include targeted tax hikes as part of a cost cutting package to reduce the federal deficit federal tax revenues are at their lowest per capita level since one nine hundred fifty and return to higher income tax rates of the clinton era would wipe out most of the deficit as you can see from this graph the orange color in the graphs is in there is the addition to the federal deficit of continuing the bush tax cuts the red is the cost of the wars the bush declared but never bothered to get funding from congress for and the blue

is the result of george bush killing off seven million jobs so those people are drawing unemployment benefits from the governments that are pain taxes to the government bill clinton handed a budget surplus often george bush which he then squandered with his tax cut for the rich and his two unpaid for wars but even with all this democrats say they're ready to give republicans what they want deep spending cuts in exchange for a smaller level of tax increases so why are republicans so adamant about saying no and why do they insist on setting the country on a crash course to default on loans taken out by reagan bush and bush joining me now to issue a top her take on the issue as you do gretchen hamel executive director of public notice i'm gretchen i think having thanks for joining us take a look at this graph this is the this is this is the contribution by president to the national debt and as you can see you know great reagan came in a great reagan came to power it's also very unpleasant rain came into power less than a trillion dollars in debt he runs. most three trillion dollars and he adds about

a little more than two h.w. bush adds another one and a half trillion dollars in debt clinton starts and down then bush george w. bush comes in and he throws in another for a half trillion dollars and republicans ran up this debt why are they now unwilling to pay for it oh republicans now that they did republicans now that they are just as guilty as others on this i don't think and republicans and democrats are both guilty on this why don't they pay for it they're trying to pay for now by with spending cuts and of course are killed him as bill clinton. as he had an. idea was to make sure he didn't drop the george w. bush and economy it was the entire one hundred percent of the debt of the us is was going to be paid off in ten years and the republicans agree it was an economic bust in two thousand now let's not forget that let's forget. the last cycle and be sure of that word bush took. that i've got to say i'm just saying this is about the republican and democrat problem you had nancy pelosi who was the leader of the house speaker of the house last year she had the majority in the city also the

white house and it didn't seem like you had any problems with spending then you all spent as well as well as republican this is the party not a party because you are spending this is not noticing any problem so let's hear it trailer so to be in fourteen trillion dollars a day that means that no one spent that money no obviously ronald reagan spent their money george herbert walker bush though it isn't their money and w. bush it is a past spending problem that's why i started over the question of spending how no it is not if it is ok ok we are you saying that the fact that is probably. what the hysterics here i mean let's let's just let's be real here back on something seventy six judas you laid out a memo that became the marching orders to the republican party to santa clause three it was the wall street journal he was very public about this and david stockman has come out and said this is what animated the republican wave white house he came up. he said the republicans have been losing elections because we

have always been scrooge the democrats have always been santa claus they gave big the they gave the american people medicare they gave the american people medicaid they give the american people the forty hour work week since social security unemployment benefits you know on and on and on the republican said no to every one of those things you said republicans have got to figure out to be santa claus so what you do is when you take power you spend like a drunken sailor run up the debt really really hard as fast as you can and then when you lose power because cycles go around and the democrats come into power you scream about the deficit when as he laid out a memo in seventy six and the republicans have done it when bill clinton was in office they were screaming about the deficit george w. comes in no problem of the deficit spend as much as him for to have to really in dollars hey this is not just everything problem this is a part unties a already years republicans have been plans there and you know what from democrats democrats have been spending as well i mean look at the number of times i've raised of a little strategy we've raised we have raised the debt ceiling ten times and the past

ten years we have raise that dozens and dozens of times when really public and president spanned you know any you hate let's also remember that there were the democratic house and senate during some of those administration there has been the last one hundred years where the per year has never been written in the last one hundred years a time when there was more than one and a half percent difference between the budget the president proposed and the budget . and a budget the president proposed with a budget that spent more than we actually received and i think everybody only in america know that you really want everybody realizes that reagan proposed and it's true in every good reports record i want is that right and every budget that george w. bush and the only president proposed budget that were balanced were jimmy carter and bill clinton and the book on passed two democrats proposed and passed budgets normie no republican i am not laughing a democrat but i you cry their eyes why are you saying no no no no we are going.

raise taxes for the expenses that we spanish them off you're saying you guys there's no reason to saying you guys here this is a. this is an issue that involves every american and you had when bill clinton was president he was working with a republican congress as well so he's got to get everything you got to give it away so as soon as you got a letter to president of corporate jets from five years of the seven years for that loophole eric cantor wasn't he says you have a chance to clear projects out of your one another through i don't know if it was bad bad but i know the report is that was the that was the thing the flip you made there are a lot of people in washington that believe in you know i count myself as one of those that and washington can show that he can issue some spending restraint that he can actually hold onto some of that money and not spend on every day that they don't deserve a lesser dollar not spending on everything and that is that is a total canard if you want to have a starting point stop the war three point four billion dollars hurdle bridge down

in florida and i agree the dress is a three hundred four million is going to value one point three second to half think you think the one point three trillion that we spent on the war two hundred fourteen three point four well. i went to the congressional budget office. and that we budget office have said we have a hard and spend so far yet if you look at home at the commitments that we've made as a result was delivered to commit to a veterans to veterans benefits and to the expenses to the rebuilding to all those things that we've committed to its three and a half trillion dollars from two wars when you talk about the commitments we've made every american in this nation on social security and medicare and you can sell every house in america seven times and still not pay for those bill and you can easily fix that by simply saying ok if you make over one hundred six thousand dollars a year now you're going to happen he says it's a good problem that i know. one thing in social security. and six thousand now that is correct and. i think they're actually happy and i think there

should be something i did notice that when it was lifted socrates would be solvent forever i think we should look at the leader in the problem in the same way that you and i. think that is what we saw so that's how you know why do you have to be outraged like is there a brain storming social security in reforming medicare seem to be having those programs it were you just doing what he had but it certainly paid for once you disagree it was the worry for most thoughtful think here well ok every time i hear republicans say reform what they actually means what you and i just agreed to is increase the increase the tax so i gave i think that's what i'm really i'm rather you're all in favor i have never heard that line of a number of things that need to be done in order to make sure that this program that you're not let's save let's save six hundred seventy billion dollars in medicare by saying that the government can negotiate for drug prices well i mean i don't know the specifics of that but i think your party well that's true but it's a problem you can't back out of the government can't negotiate drug prices unless it's the veterans of mr bacon they can go shoot and go to drug prices or unless

it's the state's medicaid programs they can negotiate on prices or unless it's kaiser. or. fill in the blank i think they're going to go can't negotiate why because we're going to hand six hundred billion dollars over to farm firms that well you know there are some problems with interest groups so i being involved and these are the areas where maybe we agree that we should cut spending let's stop giving all this money to the drug companies let's stop the military industrial complex and i think i think the defense bill that passed the house this week is probably over loaded i mean there's a lot of money that you can be cutting from that we have. the defense budget since since one thousand nine hundred main thing i mean that it's very hazy it's criminal there is there are plenty of ways that we can keep money in there in the defense contractor but less is no knowledge in america that the defense contractors get paid more than most any other columns are there any look at million dollar houses just fifteen miles an hour out of virginia absolutely but let's not do this on the back of the. lloyd for the team and. the disabled i mean this is this is the stuff

that you know what no one is a wanting to do it on the backs of them eric cantor does you know i don't i think that's a little much so they absolutely die if we had him here with a lie detector test on it i don't think it would come out that he wants to do that and i have why does his policies say he's just trying to act responsibly just like every night at the restart it is there is always a crowd publicans pass is actually going to increase the debt the democrats republicans the president so many people have said that they want to address this issue and we should thought demagogue need to either and allow these leaders to come to a table and have a good discussion that is going to lead to some real solutions here and i agree thanks for going to banking big crack and getting to be a very interesting next few weeks particularly as the message wars begin about who's responsible for the debt and tragically the unemployed are not only forgotten in all of the sturm and drang but their benefits are actually being cut in several

states by republican governors anything to ratchet up the pain americans feel so much mcconnell will get his wish that obama is a one term. crazy alert at a press conference yesterday president obama made it off the cuff remark about how lawmakers need to make the tough decisions to raise the debt limit and he referenced some would you say. it's not going to give us your it's going to get harder so. we might as well do it now pull off the band-aid. you'd r.p.s. . well the u.s. peon lentil council has responded to president obama's analogy he's been it's of swallow and lucky for him he didn't take off the industry ahead of the two thousand and twelve election a spokesman for the pay council said if tasty and nutritious meals featuring peas are certain more frequently in the white house and in the cafeterias of both houses of congress it will continue to a balanced diet if not

a balanced budget well if it was only that easy maybe more broccoli in the congress in the congressional cafeteria could reduce produce real health reform to a more green beans would end the wars. coming up rupert murdoch's empire and then used to crumble with a failed twelve million dollar bid to control all of britain's video so one of the bad news awaits the fall in mobile media mogul. new web site with twenty four seven live streaming news towns like thank you about the ongoing financial hardship unlimited free high quality videos for download. all the. stories you never find on mainstream news. going to be. a political. person more on aren't watched.

the u.s. dollar gain value versus the euro today as investors fear that the european debt crisis is spreading to italy and spain two of the biggest economies in the euro zone investors are concerned by the use determination to get banks to share in the burden of the bailouts even at the cost of triggering a greek default but they also see the disagreements over giving greece more aid as

an ominous sign of a drop in the commitment of european countries to the euro zone currency union and e.u. finance ministers continue their meetings in brussels today in the hopes of finding a way out. of this mess so what are their options and could this be the beginning of the end for the european single currency union or near studio with some answers to these questions as economist richard wolfe author of capitalism hits the fan it will melt down to what to do about richard welcome thank you very much for inviting me it's a pleasure and honor frankly is this the beginning of the end for the euro i don't think so i think it is a major crisis in europe i think they're going to have to do all kinds of things now that they hoped they wouldn't have to like most politicians including in those here in the united states they keep hoping that this economic crisis will quickly get over with and so they won't have to make difficult decisions but by not making

those decisions they actually contribute to making it even harder and so it's a situation in which the delay makes the decision harder which puts the pressure to delay until you can't anymore and that situation is now coming to look for in europe do you see that that crisis point that the bubble bursting or whatever metaphor you want to use as being something that's going to happen over the next weeks months or years or over a few years. it's probably going to take at least six months twelve months or even years it's a fundamental struggle in which the european governments had hoped that they could bail very common needs out of this crisis that they are caught up in by using the government to borrow tons of money and throw it at the banks in the large corporations to get out of the crisis now they have to face the fact that there wasn't enough money at the crisis is much worse than they had foreseen and now they

don't know what to do with other than go to their mass of their people and say ok we need even more money from you partly to pay off the people that we already borrowed from and partly to take the steps that we now need to solve this crisis but unlike the united states in europe the mass of people have strong trade unions strong socialist and communist parties and they're not allowed about to let the governments do this sort of thing so you have an internal struggle it seems to be about the euro but the underlying reality is who's going to bear the burden of fixing a broken economic system well and that's that really goes to a much larger question to paraphrase the title of one of your books has capitalism in the united states and europe at least in its current form and it's got more and

more as if air since that you're a reagan has it hit the fan. i think so i think what we're seeing is a capitalism that is turning to the mass of the people here in the united states in europe and beyond and basically saying hard times are coming hard decisions have to be made we're going to impose austerity that's the phrase in europe here in the united states our politicians are debating not whether to cut social security and medicaid but simply debating how much and this is a capitalism that is not delivering the goods pizza capitalism that is the littering the beds and projecting that into the future to diminish the standard of living of millions of people for an indefinite period of time that's not something that capitalism is going to be able to do for an extended period of time without producing major backlash major stresses and i think periods of intense conflict

that are not going to be limited to the streets of athens or the streets of italy but are going to spread everywhere and the chickens will come home to our country as well so what's the solution to this is our is you know is what argentina did where they just you know to the i.m.f. that they could they could just you know put it where it wherever. and you know when there are way i mean you know what that might be appropriate for greece but for the whole world of capitalism is imploding what should we be doing. well i think that we have to face the fact that the solution found by argentina and it wasn't the only society where the again the mass of people who are organized there made it impossible to sacrifice the standards of living of the argentinean people in order to pay off creditors many of whom were not even in argentina they weren't

going to permit it they defaulted and by the way they've done real well over this crisis much better than the united states much better than other countries i think you're going to see some countries default like greece perhaps portugal perhaps ireland and so on what other countries are going to solve the problem in another way capitalism is going to have a harder and harder time holding on to its position in the minds of people as the best system the necessary system and i think what we're going to see including here in the united states is the final opening up of a discussion we should have had for the last fifty years which is the question we should ask of all economic systems can we do better has this had its run historically let us discuss of course the benefits the pros the cons because we shouldn't keep an economic system that keeps putting on us crises absurd theoretical and theatrical dramas like we have in washington we need economic

system that works for us and if this one can do it we could in the space to talk about change very well so professor will thank you so much for being with us tonight. thank you again for your invitation and i appreciate not just for me but for the whole american people opening these questions so thank you thank you so much fox so-called news owner rupert murdoch's week just went from bad to worse today the british government joined in calls for murdoch's a shelf is the ambition of taking full control of british sky broadcasting very profitable british satellite broadcaster as wide investigation of phone hacking and bribery of murdoch's newspapers fed the backlash against the powerful media mogul prime minister david cameron's office said his government will vote with the opposition labor party on wednesday to support a motion calling on murdoch and his news corp empire to withdraw the twelve billion dollar bid for b. sky b. and now murdoch and two of his senior executives have been called to testify before

britain's culture media and sport committee and influential legislative committee that scrutinises the media more and more media experts are saying that this hacking scandal could just be one example of the many juby is practices that have become standard operating procedure within murdoch's media empire which includes fox news and the wall street journal here in the united states joining me now to offer her take on why this unfolding scandal may point to rot at but op is murdoch's in murdoch's media empire isabel stand washington bureau chief at alter net org adult all come back great to be here it's great to have you with us let's just walk through this narrative of what we know so far about what's going on with murdoch and news corp they have they want to partake of our show they are they were targeting political enemies of the us well i mean it would cordon brown came out that former prime minister u.k. former chancellor of the exchequer came out yesterday and revealed that

a different murdoch newspaper not his news of the world but more venerable times the sunday times had indeed been soliciting. kinds of information on him including having somebody pose as him making cost was bank to get personal information and you know we see that here in a more diffuse form and not only in the targeting direct targeting of. you know. obama and members of his cabinet by fox news but also by the alliance that the wall street journal editorial page for instance has with david koch. and americans for prosperity which indeed is you know a proxy organization a grassroots if a grassroots organization that represents the interests of david koch and rupert murdoch political interests them and their whole thing is to get democrats on the lectern you know one of the things that i find most amazing is that everybody in

the u.k. gets it and is oh read right by the fact that. tony blair flew to australia to ed on bended knee get murdoch's gordon brown when he first ran out went to go into murdoch's office and asked him for his boss david cameron the current prime minister brown has pointed out that if if this had come out before brown would still be prime minister cameron would cameron went to moroccan said may i have your blessing and murdoch said yes no you don't you know me out last year and you know we're all catholic now and off off to the races it's like the only way to become a prime minister in the u.k. at least over the last twenty years is to have rupert murdoch behind you and nobody in america seems to realize that the same is true in this country at least with regard to the republican party republican party with fox news and which is on by murdoch but he's become the gate keeper of all things political i think that's right i think and the way he's corrupted the political culture through this

alliance with david koch and david koch's astroturf group the americans for prosperity foundation which you know one of his own editorial board members. collecting. i think about one hundred eighty thousand dollars in speaking fees from the americans for prosperity foundation iraq's editorial board yes the wall street journal editorial board member and yet he goes there and reports columns and not disclosing this relationship be of lied to public officials and official investigations by in the silence a troublesome troublous on the side of the atlantic. this is. the i was speaking with victoria johnson to operate a news service i think you may know her white house correspondent maybe for history she's british but she's an american citizen now and this was yesterday and i said is it possible. that the the same standard operating procedures that would happen

in the u.k. for which people are going down going to jail have been happening in the murdoch empire here in the united states specifically functions well street journal and her comment was today is the first day that means stream journalists will ask that question. but a lot of us are looking at this going on you know could this be even i mean where do you think this is going well you know the advocacy group crew which is the government accountability and. as of right they have issued a call for congressional investigations to see if the same kind of thing has been going on in the u.s. . i think united states journalists journalists from the u.s. have been very careful about going after marriage i mean there's you know it's. journalists have been very effectively cowed by this trope of the liberal media oh this goes back to lee atwater you know i would say reps during the regular surveyed

zachary wright were a beginner. so so the big i'm loath to go after murdoch because then they would be you know tarred as. idealogical well the one organization that has been aggressively going after murdoch and for some time as media matters maybe rise to work and if and fox news i haven't i haven't looked at the stats over the last four or five days but as of last friday in a ten day period they've had thirty specific attacks on fox news as there are media matters asking their viewers to sign some kind of a petition to pull the nonprofits down right they want they paid a fine after media matters for the petition on their website trying to get the nonprofit status of the organization by the i.r.s. now that's a not going to happen to be there's been no violation that anybody can see of that nonprofit status but it's a way to gin up you know it's the excuse around which they can just spin the story or i. want to be there or is this yes there are always the victims adele thanks so

much always don thank you for having on ensuring it was the media blogosphere were a buzz today was speculation that a push comes to shove rupert murdoch will give up the newspaper business in great britain completely and even step down as the head of news corp to satisfy his critics in the british parliament so they'll allow the b. sky b. deal to go through after all he doesn't really need his name on the door to enjoy the billions of dollars of profit that news corp will make from acquiring british sky broadcasting the people being named as his potential successors are all individuals who've been closely groomed by murdoch and who have been calling the shots behind the scenes for so many years so as outraged as british lawmakers and the public may be over the scandal right now they may soon have to face the grim reality the very little has changed the media landscape as long as corporate profits trump journalistic integrity.